Daily Briefs

US base oils demand could stay cautious amid signs of sufficient supplies to cover domestic requirements.
Expectations of sufficient supply and seasonal slowdown in demand give buyers more leverage to hold back in face of recent volatility of crude oil prices and base oils margins.
Buyers face challenge of balancing prospect of slowdown in demand in Q3 2025 with risk of weather-related supply disruptions.

Asia base oils supply outlook: Week of 30 June

Asia’s base oils prices recover versus gasoil prices as crude oil prices revert to levels in H1 June 2025.
Recovery in light-grade base oils margins curbs pressure on refiners to adjust output of those supplies.
Any moves to sustain base oils output at current levels would coincide with completion of most plant-maintenance work in the region.

Asia base oils demand outlook: Week of 30 June

Asia’s base oils demand could ease as lower crude oil prices curb prospect of refiners adjusting output or raising prices.
Prospect of seasonal slowdown in consumption and rise in surplus supply in coming weeks adds to incentive to hold back and to procure top-up supplies on need-to basis.
Demand for Group II heavy grades could get support from concern about tighter availability of Group I heavy neutrals because of upcoming plant-maintenance in southeast Asia and uncertainty about stability of flows from Iran.

Boise Cascade Edge: How Two-Step Distribution Model Could Dominate the Housing Market!

Boise Cascade’s recent financial disclosures portray a mixed performance amid prevailing industry and economic challenges.
The company’s consolidated first-quarter sales reached $1.5 billion, marking a 7% decrease compared to the previous year.
Net income also witnessed a notable drop to $40.3 million or $1.06 per share, down from $104.1 million or $2.61 per share in the same quarter of 2024.

Civitas Resources: How Are They Optimizing Delaware Basin Operations?

Civitas Resources recently reported its first quarter 2025 results, reflecting a blend of strategic initiatives and challenges tied to the volatile economic environment.
The company, led by CEO Chris Doyle, has taken deliberate steps to adjust its capital expenditures, focusing on maintaining financial flexibility amid a backdrop of fluctuating oil prices and macroeconomic uncertainties.
These adjustments include reducing capital expenditures by approximately $150 million compared to 2024, thus emphasizing a strategy of capital discipline and controlled reinvestment rates without sustaining 2024 production levels.

Global base oils arb outlook: Week of 30 June

Global Group II heavy-grade base oils prices stay at elevated levels relative to feedstock and competing fuel prices.
Group II heavy-grade prices maintain steep premium to Group I heavy-neutrals prices in Asia and especially in Europe.
Group II heavy-grade price-strength extends to markets like India, even with recent strength in Group I prices in that market.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Industrials: Nissin Corp, Hyundai Construction Equipment, Annto Logistics Supply Chain Technology, Okamura Corp, HD Hyundai Infracore, Samsung SDI, Daehan Shipbuilding, PostNL NV, Knorr-Bremse AG, MillerKnoll and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

[Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility
HD HCE–Infracore Merger: Deal Mechanics & Trade Playbook
Midea Group (300 HK) – Annto Logistics Spin-Off & IPO; Valuation Scenarios
Okamura (7994): Why Management Incentives Are So Important
Merger Between HD Hyundai Infracore and HD Hyundai Construction Equipment
Samsung SDI (006400): Still a No
Daehan Shipbuilding Pre-IPO: PE Cashing Cheques on the Shipping Boom
PostNL NV – What’s News in Amsterdam
Knorr-Bremse AG: How the Company Unlocks Infrastructure Windfalls & Strategic Supremacy!
MillerKnoll, Inc: 4Q25 Adj. EPS of $0.60 Beats WTR Estimate

[Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility

On 12 May 2025, Bain Capital announced a deal to buy Nissin Corp (9066 JP). The tender was VERY light in price (Bain’s borrowing more than adjusted EV at TOB Price)
And it was very long at 41 days. As of Day 1, they announced a long list of “irrevocables” – 16 holders with 5.75% – who had agreed to tender.
Since then Bain have made 7 separate amendment filings detailing additional irrevocables and one possible additional tender agreement to get to 11.30%. Now it’s extended.

HD HCE–Infracore Merger: Deal Mechanics & Trade Playbook

By Sanghyun Park

This event offers two arb plays—merger swap and appraisal rights—but there’s barely any juice left as pricing locked the market into an unusually tight range.
Yeah, it’s tight. Unless cancel risk flares up, the spread likely stays muted—major holder’s balanced stakes make vote pushback or ratio disputes pretty unlikely.
One angle to watch: passive flows. HCE likely joins KOSPI 200 post-merger, triggering index buys around Infracore’s halt on Dec 30—potentially a solid year-end positioning play.

Midea Group (300 HK) – Annto Logistics Spin-Off & IPO; Valuation Scenarios

By Sreemant Dudhoria,CFA

Midea Group (300 HK) has received shareholder approval to spin off its technology-driven supply chain arm,Annto Logistics,for a separate listing on the Main Board of the Hong Kong Stock Exchange.
Annto has demonstrated consistent profitability, with cumulative net profit attributable to shareholders of the parent company reaching RMB 883.42 million for 2022-2024.
Size to not exceed 20% of the enlarged share capital. The objective is to expand Annto’s financing avenues, accelerate growth, & bolster operational independence within the Midea ecosystem.

Okamura (7994): Why Management Incentives Are So Important

By Michael Allen

Okamura trades at a PBR of 1.0 and a PER of 8.6 despite earning more than 12% return on equity.
Okamura’s new AI-driven warehouse automation system is a potential game-changer as it reduces costs and improves decision making for mid-sized enterprises.
Management’s incentives are still poorly aligned with the interests of shareholders, and their performance is well below potential.

Merger Between HD Hyundai Infracore and HD Hyundai Construction Equipment

By Douglas Kim

After the market close on 1 July, HD Hyundai Infracore announced that it will be merging with HD Hyundai Construction Equipment.
The merger ratio is 0.1621707 common shares of HD Hyundai Construction Equipment for each common share of HD Hyundai Infracore.
We have Negative ratings on both HD Hyundai Infracore and HD Hyundai Construction Equipment.

Samsung SDI (006400): Still a No

By Henry Soediarko

The EU ended the direct purchase subsidies for EVs; that is a negative for Samsung SDI (006400 KS).
Management is quite bullish, but the last two quarters result were quite informative on the level of margin and contribution from the battery business.
It trades around 112x PER while historically around 25-35x PER and its competitor Contemporary Amperex Technology (CATL) (3750 HK) is only trading at 20x.

Daehan Shipbuilding Pre-IPO: PE Cashing Cheques on the Shipping Boom

By Nicholas Tan

Daehan Shipbuilding (439260 KS) is looking to raise up to US$350m in its upcoming Korean IPO.
It specializes in the design and construction of medium-sized (Aframax) and semi-large sized (Suezmax) vessels for crude oil and petroleum product transportation.
In this note, we provide updates on the firm’s past performance.

PostNL NV – What’s News in Amsterdam

By The IDEA!

In this edition: • ABN Amro | completes the acquisition of Hauck Aufhäuser Lampe • ING | cutting 230 senior roles globally within its Wholesale Banking • InPost | EVRi intends to deploy 10,000 APMs by 2030 • PostNL | proposed changes in postal legislation do not go down well at PostNL • Dutch retail sales | up 2.2% YoY in May; sales volume down 2.2% • Dutch inflation | continued to trend down in June

Knorr-Bremse AG: How the Company Unlocks Infrastructure Windfalls & Strategic Supremacy!

By Shifara Samsudeen, FCMA, CGMA

Knorr-Bremse AG, a leading manufacturer in the rail and truck sectors, has presented a mixed performance for the first quarter of 2025.
The company’s resilience was emphasized by CEO Marc Llistosella, pointing to strategic measures and a decentralized operational model that has enabled Knorr-Bremse to manage ongoing global trade challenges effectively.
The company has positioned itself well in terms of geographic revenue distribution, which mitigates tariff risks and enhances flexibility in volatile markets.

MillerKnoll, Inc: 4Q25 Adj. EPS of $0.60 Beats WTR Estimate

By Water Tower Research

Strong sales growth in 4QFY25, especially in North American Contract, driven in part by demand pull forward.
MLKN delivered adjusted EPS of $0.60, significantly better than our estimate.
North American Contract saw organic sales growth of 12.6%, which led to a 195-bp improvement in operating margins on better sales leverage.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Technical Analysis: Blue Sky Territory; Bullish Outlook Intact; Nasdaq 100 and S&P 500 Breaking to All-Time Highs and more

By Smartkarma Daily Briefs | Daily Briefs, Technical Analysis

In today’s briefing:

Blue Sky Territory; Bullish Outlook Intact; Nasdaq 100 and S&P 500 Breaking to All-Time Highs

Blue Sky Territory; Bullish Outlook Intact; Nasdaq 100 and S&P 500 Breaking to All-Time Highs

By Joe Jasper

We remain near-term bullish since our 4/22/25 Compass, and our intermediate-term outlook remains bullish as well (as of our 5/14/25 Compass).
Our near-term bullish outlook will remain in place long as the S&P 500 (SPX), Nasdaq 100 (QQQ), and Russell 2000 (IWM) are above their 20-day MAs.
Short-Term SPX support is at 6028-6059 and the 20-day MA, with additional supports at 5804-5854 and 5700-5785. Russell 2000 (IWM) and S&P Mid Caps (IJH) also breaking above key resistances

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief ECM: HDB Financial Services IPO Trading – Strong Demand and more

By Smartkarma Daily Briefs | Daily Briefs, ECM

In today’s briefing:

HDB Financial Services IPO Trading – Strong Demand, Driven by Instis
Lens Technology H Share Listing (6613 HK): Valuation Insights
Lens Technology H-Share Listing: Thoughts on Valuation
Foshan Haitian Flavouring & Food Company (3288 HK) – The Dull Post-IPO Share Price and the Outlook
Daehan Shipbuilding Pre-IPO: PE Cashing Cheques on the Shipping Boom
Kalpataru IPO Trading – Decent Anchor; Muted Overall Demand
Fortior Tech A/H Listing – Fast but Volatile Growth and Margins

HDB Financial Services IPO Trading – Strong Demand, Driven by Instis

By Sumeet Singh

HDB Financial Services (HDBFS) raised around US$1.4bn in its India IPO.
HDBFS is a leading retail-focused non-banking financial company (NBFC) in India, in terms of total gross loan book size, according to the CRISIL Report.
We have looked at the past performance and pricing in our previous note. In this note, we talk about the trading dynamics.

Lens Technology H Share Listing (6613 HK): Valuation Insights

By Arun George

Lens Technology (6613 HK), an industry-leading integrated one-stop precision manufacturing solution provider, has launched an H Share listing to raise US$600 million.
I discussed the H Share listing in Lens Technology H Share Listing (6613 HK): The Investment Case.
The proposed AH discount of 24.8% to 28.1% (based on the 27 June A Share price) is attractive, and I would participate in the H Share listing.

Lens Technology H-Share Listing: Thoughts on Valuation

Chinese iPhone glass supplier Lens Technology (6613 HK) has announced the terms for its H-share listing, and plans to raise around US$600m through issuing 262.3m shares.
The company’s listing is priced at HK$17.38-18.18 per share, at a 25-28% discount to the last close price of the A-shares as of 27th June.
Our valuation analysis suggests that the company’s H-share offering is priced reasonably compared to domestic and international peers.

Foshan Haitian Flavouring & Food Company (3288 HK) – The Dull Post-IPO Share Price and the Outlook

By Xinyao (Criss) Wang

Recent positive sentiment towards A/H listings fails to drive Haitian’s post-IPO stock price performance, as the market still has doubts about whether Haitian can effectively break through the growth bottleneck.
The core contradiction of Haitian lies in the mismatch between high valuation and slow growth. Haitian’s fundamentals are difficult to support high valuation – 20-30x P/E is a reasonable range.
The intensification of geopolitical tensions has brought considerable uncertainty to the market, which has reduced investors’ risk appetite and made them more willing to avoid investment targets with potential risks.

Daehan Shipbuilding Pre-IPO: PE Cashing Cheques on the Shipping Boom

By Nicholas Tan

Daehan Shipbuilding (439260 KS) is looking to raise up to US$350m in its upcoming Korean IPO.
It specializes in the design and construction of medium-sized (Aframax) and semi-large sized (Suezmax) vessels for crude oil and petroleum product transportation.
In this note, we provide updates on the firm’s past performance.

Kalpataru IPO Trading – Decent Anchor; Muted Overall Demand

By Akshat Shah

Kalpataru Limited (KTARU IN) raised about US$184m in its India IPO.
Kalpataru (KL) is an integrated real estate developer involved in identification and acquisition of land, planning, designing, execution, sales, and marketing of its projects.
We have looked at the company’s past performance and valuations in our previous notes. In this note, we will talk about the trading dynamics.

Fortior Tech A/H Listing – Fast but Volatile Growth and Margins

By Sumeet Singh

Fortior Technology (Shenzhen) (688279 CH), a BLDC motor IC design company, aims to raise around US$250m in its H-share listing.
Fortior Tech is an IC design company dedicated to the design and R&D of BLDC motor control ICs.
In this note, we look at the past performance and likely A/H premium.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Industrials: Nissin Corp, Hyundai Construction Equipment, Annto Logistics Supply Chain Technology, Okamura Corp, HD Hyundai Infracore, Samsung SDI, Daehan Shipbuilding, PostNL NV, Knorr-Bremse AG, MillerKnoll and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

[Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility
HD HCE–Infracore Merger: Deal Mechanics & Trade Playbook
Midea Group (300 HK) – Annto Logistics Spin-Off & IPO; Valuation Scenarios
Okamura (7994): Why Management Incentives Are So Important
Merger Between HD Hyundai Infracore and HD Hyundai Construction Equipment
Samsung SDI (006400): Still a No
Daehan Shipbuilding Pre-IPO: PE Cashing Cheques on the Shipping Boom
PostNL NV – What’s News in Amsterdam
Knorr-Bremse AG: How the Company Unlocks Infrastructure Windfalls & Strategic Supremacy!
MillerKnoll, Inc: 4Q25 Adj. EPS of $0.60 Beats WTR Estimate

[Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility

On 12 May 2025, Bain Capital announced a deal to buy Nissin Corp (9066 JP). The tender was VERY light in price (Bain’s borrowing more than adjusted EV at TOB Price)
And it was very long at 41 days. As of Day 1, they announced a long list of “irrevocables” – 16 holders with 5.75% – who had agreed to tender.
Since then Bain have made 7 separate amendment filings detailing additional irrevocables and one possible additional tender agreement to get to 11.30%. Now it’s extended.

HD HCE–Infracore Merger: Deal Mechanics & Trade Playbook

By Sanghyun Park

This event offers two arb plays—merger swap and appraisal rights—but there’s barely any juice left as pricing locked the market into an unusually tight range.
Yeah, it’s tight. Unless cancel risk flares up, the spread likely stays muted—major holder’s balanced stakes make vote pushback or ratio disputes pretty unlikely.
One angle to watch: passive flows. HCE likely joins KOSPI 200 post-merger, triggering index buys around Infracore’s halt on Dec 30—potentially a solid year-end positioning play.

Midea Group (300 HK) – Annto Logistics Spin-Off & IPO; Valuation Scenarios

By Sreemant Dudhoria,CFA

Midea Group (300 HK) has received shareholder approval to spin off its technology-driven supply chain arm,Annto Logistics,for a separate listing on the Main Board of the Hong Kong Stock Exchange.
Annto has demonstrated consistent profitability, with cumulative net profit attributable to shareholders of the parent company reaching RMB 883.42 million for 2022-2024.
Size to not exceed 20% of the enlarged share capital. The objective is to expand Annto’s financing avenues, accelerate growth, & bolster operational independence within the Midea ecosystem.

Okamura (7994): Why Management Incentives Are So Important

By Michael Allen

Okamura trades at a PBR of 1.0 and a PER of 8.6 despite earning more than 12% return on equity.
Okamura’s new AI-driven warehouse automation system is a potential game-changer as it reduces costs and improves decision making for mid-sized enterprises.
Management’s incentives are still poorly aligned with the interests of shareholders, and their performance is well below potential.

Merger Between HD Hyundai Infracore and HD Hyundai Construction Equipment

By Douglas Kim

After the market close on 1 July, HD Hyundai Infracore announced that it will be merging with HD Hyundai Construction Equipment.
The merger ratio is 0.1621707 common shares of HD Hyundai Construction Equipment for each common share of HD Hyundai Infracore.
We have Negative ratings on both HD Hyundai Infracore and HD Hyundai Construction Equipment.

Samsung SDI (006400): Still a No

By Henry Soediarko

The EU ended the direct purchase subsidies for EVs; that is a negative for Samsung SDI (006400 KS).
Management is quite bullish, but the last two quarters result were quite informative on the level of margin and contribution from the battery business.
It trades around 112x PER while historically around 25-35x PER and its competitor Contemporary Amperex Technology (CATL) (3750 HK) is only trading at 20x.

Daehan Shipbuilding Pre-IPO: PE Cashing Cheques on the Shipping Boom

By Nicholas Tan

Daehan Shipbuilding (439260 KS) is looking to raise up to US$350m in its upcoming Korean IPO.
It specializes in the design and construction of medium-sized (Aframax) and semi-large sized (Suezmax) vessels for crude oil and petroleum product transportation.
In this note, we provide updates on the firm’s past performance.

PostNL NV – What’s News in Amsterdam

By The IDEA!

In this edition: • ABN Amro | completes the acquisition of Hauck Aufhäuser Lampe • ING | cutting 230 senior roles globally within its Wholesale Banking • InPost | EVRi intends to deploy 10,000 APMs by 2030 • PostNL | proposed changes in postal legislation do not go down well at PostNL • Dutch retail sales | up 2.2% YoY in May; sales volume down 2.2% • Dutch inflation | continued to trend down in June

Knorr-Bremse AG: How the Company Unlocks Infrastructure Windfalls & Strategic Supremacy!

Knorr-Bremse AG, a leading manufacturer in the rail and truck sectors, has presented a mixed performance for the first quarter of 2025.
The company’s resilience was emphasized by CEO Marc Llistosella, pointing to strategic measures and a decentralized operational model that has enabled Knorr-Bremse to manage ongoing global trade challenges effectively.
The company has positioned itself well in terms of geographic revenue distribution, which mitigates tariff risks and enhances flexibility in volatile markets.

MillerKnoll, Inc: 4Q25 Adj. EPS of $0.60 Beats WTR Estimate

By Water Tower Research

Strong sales growth in 4QFY25, especially in North American Contract, driven in part by demand pull forward.
MLKN delivered adjusted EPS of $0.60, significantly better than our estimate.
North American Contract saw organic sales growth of 12.6%, which led to a 195-bp improvement in operating margins on better sales leverage.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Thematic (Sector/Industry): Ohayo Japan | Investors Rotate Out of Tech; Fed and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Ohayo Japan | Investors Rotate Out of Tech; Fed, Tariffs in Focus
Japan Morning Connection: Big Pivot from Momo into Value Should See a Sharp Factor Rotation Today
Transforming from Asset Heavy to Asset Light: The New Business Model of Real Estate in Asia
[Japan M&A] Who Owns Who: The Growing Concentration of Power in Japanese Consumer Markets
How Sebi’s New Electricity Derivative Product Can Revolutionise The Power Sector?
HK Strategy: Some Ideas for 2H25
Sustainable Investing Surveyor – Focus on AMRC
The Hardman & Co Monthly: July 2025
#166 India Insights:Sona EV Magnets, Jio Boosts ESports, Pine Labs Plans ₹2,600 Cr IPO

Ohayo Japan | Investors Rotate Out of Tech; Fed, Tariffs in Focus

By Mark Chadwick

The Dow gained 0.91% to close at 44,494.94 on Tuesday as investors rotated out of technology and into health care stocks
President Donald Trump expressed scepticism on reaching a tariff agreement with Japan, emphasizing his intent to impose duties
Kirin Holdings completed the sale of Kyowa Hakko Bio’s amino acid business

Japan Morning Connection: Big Pivot from Momo into Value Should See a Sharp Factor Rotation Today

By Andrew Jackson

Homebuilders starting to stir, watch Sumitomo Forestry for upside squeeze potential.
Este Lauder continues to climb but JP names still languish as slow to react to changing trends.
Trump’s brinkmanship continues as the 9th July tariff deadline looms.

Transforming from Asset Heavy to Asset Light: The New Business Model of Real Estate in Asia

By Jacob Cheng

China/HK real estate developers used to operate on “asset heavy” business model, where they build, own and operate the assets on balance sheet
We think a new “asset light” model is emerging: the new model is charactered by minimized asset ownership, reduced financial risk and improved ROE
In particular, we like CLI, Link REIT and China Resources Land. We think they are on a transformational path and will provide further upside to shareholders

[Japan M&A] Who Owns Who: The Growing Concentration of Power in Japanese Consumer Markets

By Michael Causton

Consumer distribution has been transformed since 2020 through accelerated concentration of market share. While some has come about through organic growth, the real drivers have been M&A and MBOs.
The result is a realignment of the retail leader board as companies like PPI, Welcia and Trial buy their way to the top, while others, notably Seven & I, shrink.
Here we identify the retail leaders in driving consolidation going forward, and the intensifying pressure on both smaller retailers and the wholesalers that supply them.

How Sebi’s New Electricity Derivative Product Can Revolutionise The Power Sector?

By Nimish Maheshwari

SEBI approved cash-settled electricity futures on MCX and NSE in June 2025, bringing energy derivatives under regulation.
These critical financial tools will deepen power markets, enabling risk management and aligning with global practices.
Their transformative impact will bridge physical and financial power trading, boosting investment and market participation.

HK Strategy: Some Ideas for 2H25

By Osbert Tang, CFA

Following a 20% rally in 1H25, the market has built in excessive optimism on the HSI. Historically, average returns for Jul-Oct are negative, suggesting caution is needed.
The top 10 best-performing constituents are sitting on 24x FY25F PER, much higher than 11x for the Index, implying that earnings excitement has been well factored in.
Among the worst-performing ones in 1H25, BYD Electronics (285 HK), Haier Smart Home (6690 HK), and Techtronic Industries (669 HK) look appealing in 2H25.

Sustainable Investing Surveyor – Focus on AMRC

By Water Tower Research

The WTR Sustainable Index was up 2.7% W/W versus the S&P 500 Index (up 3.4%), the Russell 2000 Index (up 3.0%), and the Nasdaq Index (up 4.2%).
Energy Technology (13.1% of the index) was up 4.8%, while Industrial Climate and Ag Technology (48.2% of the index) was up 3.8%, ClimateTech Mining was up 1.4%, and Advanced Transportation Solutions (20.8% of the index) was up 2.7%.
Top 10 Performers: QS, HYSR, AEVA, EFOI, COMM, WAVE, FTEK, AYRO, ENVX, AMSC

The Hardman & Co Monthly: July 2025

By Hardman & Co

The risk of power cuts in the UK, for a variety of reasons, remains real.
Low plant margins (i.e. limited spare capacity at peak) in the UK are obvious enough.
However, the events of 28 April 2025 ‒ when Spain, Portugal and parts of France were plunged into lengthy power outages ‒ were very disconcerting.

#166 India Insights:Sona EV Magnets, Jio Boosts ESports, Pine Labs Plans ₹2,600 Cr IPO

By Sudarshan Bhandari

Credit growth expected to rise to 13–13.5 percent in FY26, led by industrial lending and public sector bank support.
Reliance Industries (RIL IN) ’s RISE Worldwide partners with Denmark’s BLAST to launch Jio BLAST eSports, signaling a major push into India’s booming gaming industry.
Sona Comstar plans to manufacture EV magnets in India, aiming to reduce China dependence and strengthen domestic capabilities in the electric mobility sector.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Credit: Lucror Analytics – Morning Views Asia and more

By Smartkarma Daily Briefs | Credit, Daily Briefs

In today’s briefing:

Lucror Analytics – Morning Views Asia

Lucror Analytics – Morning Views Asia

By Trung Nguyen

In today’s Morning Views publication we comment on developments of the following high yield issuers: Softbank Group, New World Development
US Treasury yields fell yesterday. The UST curve bull flattened, with the yield on the 2Y UST declining 3 bps to 3.72%, while that on the 10Y UST was down 5 bps at 4.23%. Equities climbed to new record highs.
The S&P 500 rose 0.5% to 6,205, while the Nasdaq advanced 0.5% to 20,370. Contracted sales for China’s Top 100 developers in June declined 23% y-o-y but were up 15% m-o-m at CNY 339 bn, according to CRIC.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Health Care: Nanosonics Ltd, Fortrea Holdings , Neurocrine Biosciences, Sartorius AG and more

By Smartkarma Daily Briefs | Daily Briefs, Healthcare

In today’s briefing:

Nanosonics Ltd (NAN AU): Two Upcoming Catalysts to Set Future Direction
Fortrea Holdings: An Insight into Its Clinical Outsourcing Growth & Other Major Drivers!
Neurocrine Biosciences: Adoption of CRENESSITY For A Substantial Opportunity For Growth In The Endocrinology Segment!
Sartorius AG – Can U.S. Expansion Shield It from Global Trade Chaos?

Nanosonics Ltd (NAN AU): Two Upcoming Catalysts to Set Future Direction

By Tina Banerjee

Nanosonics Ltd (NAN AU) is on track to launch its newly approved endoscope cleaning device, Coris in the U.S. in Q1FY26.
FY25 performance is expected to beat revised guidance. Consensus is expecting revenue growth of 14% for FY25, matching the higher end of the revised guidance.
Nanosonics shares have a high short interest (6.65%) in ASX. We may see some short squeeze as the company entering eventful Q1FY26 (new launch, FY25 result announcement, FY26 guidance).

Fortrea Holdings: An Insight into Its Clinical Outsourcing Growth & Other Major Drivers!

Fortrea’s financial results for the first quarter of 2025 presented a mixed picture of performance and challenges as it navigates a transformation phase post-spinoff.
The company reported revenues of $651.3 million, a slight decline of 1.6% compared to the previous year.
This decrease was attributed primarily to the variable nature of late-stage clinical service fee new business wins, compounded by a slowdown in the backlog burn rate.

Neurocrine Biosciences: Adoption of CRENESSITY For A Substantial Opportunity For Growth In The Endocrinology Segment!

Neurocrine Biosciences, in its first quarter of 2025 results communication, highlighted noteworthy progress in both its product sales and promising initial uptake of new therapeutic offerings.
Despite external market volatility, the company’s focus on execution was evident in the strong performance of its established brands and new product launches.
On the positive side, the first quarter showcased record new patient starts for INGREZZA, a crucial treatment in their portfolio, alongside encouraging initial results from the CRENESSITY launch.

Sartorius AG – Can U.S. Expansion Shield It from Global Trade Chaos?

Sartorius AG recently reported its first-quarter results for 2025.
The results demonstrated strong performance driven primarily by their Bioprocess Solutions division, which saw a 10% increase in sales revenue, mainly from consumables despite a muted equipment business.
The company reported a 6.5% growth in sales revenue in constant currencies, reaching EUR 883 million, with an underlying EBITDA of EUR 263 million, reflecting an overproportional growth of 12.2%.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

✓ Unlimited Research Summaries
✓ Personalised Alerts
✓ Custom Watchlists
✓ Company Data and News
✓ Events & Webinars

Jul 02

Daily Brief Event-Driven: [Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility and more

By Smartkarma Daily Briefs | Daily Briefs, Event-Driven

In today’s briefing:

[Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility
Taishin (2887 TT)/Shin Kong (2888 TT) Merger: Index Flows in July
Lens Technology (6613 HK): Offering Details & Index Inclusion
HD HCE–Infracore Merger: Deal Mechanics & Trade Playbook
[Japan CorpGov] TSE “Mgmt Conscious” Reports (Jul25), Minor Updates
Domain (DHG AU): 4th August Vote On CoStar’s Offer. Clean Deal
Midea Group (300 HK) – Annto Logistics Spin-Off & IPO; Valuation Scenarios
Merger Between HD Hyundai Infracore and HD Hyundai Construction Equipment
Last Premium Collected: DLG’s Short-Dated Arbitrage Opportunity
Selected European HoldCos and DLC: June 2025 Report

[Japan M&A] Bain Plays Announcement Games with Nissin (9066) MBO TOB – Noise A Possibility

On 12 May 2025, Bain Capital announced a deal to buy Nissin Corp (9066 JP). The tender was VERY light in price (Bain’s borrowing more than adjusted EV at TOB Price)
And it was very long at 41 days. As of Day 1, they announced a long list of “irrevocables” – 16 holders with 5.75% – who had agreed to tender.
Since then Bain have made 7 separate amendment filings detailing additional irrevocables and one possible additional tender agreement to get to 11.30%. Now it’s extended.

Taishin (2887 TT)/Shin Kong (2888 TT) Merger: Index Flows in July

By Brian Freitas

Taishin Financial Holding (2887 TT) and Shin Kong Financial Holding (2888 TT) announced a Merger of Equals in August 2024 and completion is expected on 24 July.
Taishin Financial Holding (2887 TT) has underperformed its peers over the last 18 months while Shin Kong Financial Holding (2888 TT) has underperformed its peers following the merger announcement.
There will be passive flows in the merged entity following the completion of the merger and could help reverse some of Taishin Financial Holding (2887 TT)‘s underperformance.

Lens Technology (6613 HK): Offering Details & Index Inclusion

By Brian Freitas

Lens Technology (6613 HK)‘s global offering opened yesterday, and the raise could reach up to US$800m if the offer-size adjustment option and the overallotment option are exercised.
The allocation to cornerstone investors is smaller than in other recent AH listings. The discount of over 25% to the A-shares is attractive given the recent trend for large listings.
Lens Technology (6613 HK) could be added to a global index in December. Inclusion in Southbound Stock Connect in August and HSCI inclusion could take place in March 2026.

HD HCE–Infracore Merger: Deal Mechanics & Trade Playbook

By Sanghyun Park

This event offers two arb plays—merger swap and appraisal rights—but there’s barely any juice left as pricing locked the market into an unusually tight range.
Yeah, it’s tight. Unless cancel risk flares up, the spread likely stays muted—major holder’s balanced stakes make vote pushback or ratio disputes pretty unlikely.
One angle to watch: passive flows. HCE likely joins KOSPI 200 post-merger, triggering index buys around Infracore’s halt on Dec 30—potentially a solid year-end positioning play.

[Japan CorpGov] TSE “Mgmt Conscious” Reports (Jul25), Minor Updates